Arkestro Announces AI-Powered Predictive Procurement Software

Arkestro announced Arkestro Labs, the company’s research and development engine focused on building the next generation of AI-powered, predictive procurement software.

“Arkestro Intelligence builds on our existing patented technology to act as a force multiplier for procurement teams’ expertise. What we’re launching today with Opportunities goes beyond what we’ve offered to date — and well beyond competitor offerings — in that it doesn’t just make intelligent recommendations, it’s also capable of executing on them,” says Ben Leiken, Arkestro CTO. “This is an entirely new level of predictive intelligence that unlocks massive procurement opportunities using a broader data set than anything else in the market. This is also a milestone for our long-term vision to drive ‘continuous procurement,’ in which teams have the insights they need to shift from episodic events and isolated RFQs to informed decision-making all the way through. We like to call this ‘Always On’ Procurement.”

Key takeaways:

·        Arkestro Labs already produced a new set of powerful AI capabilities called Arkestro Intelligence, a constellation of models running within Arkestro’s core predictive procurement platform built to enhance and accelerate critical tasks and insights for procurement professionals’ daily work.

·        Arkestro Intelligence includes models designed for price recommendations, supplier suggestions, predicting upcoming purchases, and tying goods to a commodity index to predict price movements.

·        The first AI feature powered by this model set is Arkestro Opportunities, a forward-looking category co-pilot that proactively identifies and recommends actions at the line-item level to drive cost savings, risk reduction, and more.

·        Arkestro Opportunities analyzes a customer's purchasing, spend, and quoting history against external data sources, like the Federal Reserve Economic Data (FRED) for commodities, to identify savings opportunities. The system then recommends specific, line-item-level actions, such as bundling similar items into a single sourcing event to optimize the supplier base. It’s important to note that all recommendations made are time-bound, pinpointing specific timeframes in which to act.

·        These models are built to give customers timely, actionable recommendations based on real data, freeing procurement professionals from tactical data-gathering to focus on high-impact initiatives. It provides teams with a "closed-loop" system where predictive recommendations can be immediately executed on the same platform, ensuring no value is lost between analysis and action.